January 18, 2023 7:39am
Futures are stagnant and Tuesday’s aftermarket was weak
Pre-open Indications: 1 Positive Indications, 1 Negative Indications and 2 Sell into Strength
News: bluebird bio (BLUE -$1.06 pre-open) has commenced an underwritten public offering of 20,000,000 shares of its common stock. Goldman Sachs & Co. LLC and J.P. Morgan Securities LLC are acting as joint book running managers for the offering.
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The 8:00 a.m. edition
Remember that overnight and pre-open actions in futures don't necessarily translate into actual trading in the coming day’s session.
Dow futures are UP +0.08% or (+26 points), S&P futures are UP +0.19% or (+7 point) and NASDAQ futures are UP +0.24% or (+27 points) early in the pre-open – so far
U.S. stock futures were flirting with the upside on Wednesday,
European markets were mixed as uncertainty persisted on the economic outlook,
Asia-Pacific shares traded mostly higher.
We need to understand the macro to comprehend the micro re “our” universe of cell and gene therapy companies …
Indexes fell Tuesday as session struggled to maintain momentum and weighed-down by the latest earnings results.
The Dow closed DOWN -391.76 points (-1.14%), the S&P closed DOWN -8.12 points (-0.20%) while the Nasdaq closed UP +15.96 points (+0.14%)
Economic data Docket: At 8:30 a.m. ET, investors will get December retail sales and the December producer price index. At 9:15 a.m., December industrial production will be released. At 10 a.m. ET, the NAHB homebuilder sentiment index will be out.
- Wholesale inflation is expected to fall 0.1% in December, with a 6.8% year-over-year increase, per Econoday estimates. Retail sales data is also due out.
Tuesday’s (1/17) … RegMed Investors’ (RMi) closing bell: “share pricing slips on the icy surface as the sector dives. As I stated this a.m., “sentiment is positioned on thin ice” … https://www.regmedinvestors.com/articles/12788
Ebb and flow:
Q1/23 – 2 holiday, 6 positive and 4 negative closes
· December – 1 holiday, 13 negative and 8 positive closes
· November -1 holiday, 14 negative and 8 positive closes
· October -1 neutral, 11 positive and 9 negative closes
Companies in my headlights – It’s your decision; I provide ideas and context: INDICATIONS
Sell into Strength:
CRISPR Therapeutics (CRSP) closed up +$1.83 to $51.77 with a positive +$1.22 or +2.36% pre-open indication.
Beam Therapeutics (BEAM) closed up +$1.21 to $44.45 with a positive +$0.55 or 1.24% aftermarket indication.
bluebird bio (BLUE) closed down -$0.61 to $7.28 with a negative -$1.06 or -14.56% pre-open indication as it commences a 20 M share offering.
Voyager Therapeutics (VYGR) closed down -$1.57 to $9.20 with a +$0.43 or +4.62% aftermarket indication.
The BOTTOM LINE: I try to keep it simple and short!
On Friday of last week, we closed at the lowest level for the VIX index all year long through 2022. And what does that indicate – complacency
A negative close followed four (4) sector positive closes in a row.
My interpretation of the morning’s numbers is written to be informative; it’s built on will happen behind the headlines today, not tomorrow or yesterday
Reiterating, “As 2023 trading begins, some investors think the pain is far from over; I agree for Q1 as Q4 earnings releases could hinder share pricing however, once through that “gauntlet” – we could see a bit of a smoother road in Q2/2023 hoping for a few clinical results and successful financings – well needed for more than usual companies.”
“Don't act like the market is in an uptrend until the market is actually in an uptrend”.
Insight is about understanding perception and also about putting into context what is relevant to expectation fulfillment,
Opinions expressed are those of the author and are subject to change, and not intended to be a forecast of future events, a guarantee of future results, nor investment advice.
All investments are subject to risks. Investors should consider investment objectives.
Regulation Analyst Certification (Reg AC): The research analyst primarily responsible for the content of this report certifies the following under Reg AC: I hereby certify that all views expressed in this report accurately reflect my personal views about the subject company or companies and its or their securities. I also certify that no part of my compensation was, is or will be, directly or indirectly, related to the specific recommendations or views expressed in this report.
Henry McCusker, the editor and publisher of RegMed Investors does not hold or have positions securities referred to in this publication.